D1 completes Bromborough sale

X The Business Desk

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ALTERNATIVE energy business D1 Oils has completed the sale of its Wirral refining plant.

Last month the London-based company, which specialises in biodiesel production, said the unnamed buyer was struggling to find the cash for the deal, agreed in February.

“Since this time the buyer has been successful in firming up its sources of funding for the acquisition of Bromborough,” said D1 in a statement.

D1 has received £2.2m in cash. The balance will come from a VAT repayment owed to the buyer from HM Revenue & Customs.  

The buyer has also agreed to pay D1 a royalty, capped at £400,000 plus VAT, based on Bromborough’s future production volumes of biodiesel. It said production plans indicate it should receive these payments during the next two to three years.